Final answer:
The objective of group purchasing in the buy-side marketplace is primarily to attain cost savings via bulk purchases, leveraging collective bargaining power to obtain discounts from suppliers.
Step-by-step explanation:
The goal of group purchasing in the buy-side marketplace is to achieve cost savings through bulk buying. This is done by organizations coming together to consolidate their purchasing power, which often leads to cost savings because suppliers are more willing to offer discounts for larger orders.
This approach offers advantages similar to those seen in large-scale production, where average costs can be dramatically lowered. It's important to note, though, that while group purchasing primarily focuses on cost savings, it can also indirectly lead to increased competition among suppliers, streamlined procurement processes, and an incentive for suppliers to enhance product quality and innovation to secure these bulk contracts.